The Tech Deficit: Enterprises need to transform their IT

Colt’s Tech Deficit report points to an urgent need for an IT transformation in order for enterprise organisations across Europe to cope with challenges and exploit opportunities in the rapidly changing digital economy.

IT decision makers will recognise much of the worrying findings in the report, particularly, the growing evidence that a substantial gap has developed between what businesses would like to achieve and what their IT infrastructure can support.

Problems are developing as enterprises try to strike the right balance between increasing profitability and responding to changing customer needs. Being asked to adapt to future business requirements with limited resources and static budgets is a tall order, the pressure is on and cracks are beginning to appear around infrastructure capabilities.

Key Enterprise considerations:

 -72% of businesses have a moderate or significant tech deficit
 -40% feel cost pressure is the biggest factor forcing structural change
 -More than 8 in 10 businesses acknowledge they need to evolve their current technology

With one in five of IT decision makers in enterprise organisations believing their infrastructure is not ready and that there is no plan in place to support change, it is clear that difficult questions need to be raised and responded to with a plan of action.
 
But problems are not always a bad thing, they create urgency which leads to solutions and action. Decisive, yet well considered responses can be rewarding, especially if the competition remains hesitant and unsure of how to proceed. Examining the following trends could see enterprises navigate the tech deficit in  a way that shapes their future thinking:

1. Service based delivery will shape how enterprises think and there will be a move away from buying technology towards embracing a service based model. 
2. Flexibility in business models and commercial arrangements will become more popular as a tool to manage change.
3. IT department will aim to simplify processes where possible and choose to deploy Cloud services, consolidate suppliers and identify strategic partners.

Enterprises accept change is a part of  doing business, but tend to  react when necessary rather than adopting new mind-sets and practices  The tech deficit suggests the old way of doing things is starting to break down  and more radical approaches will be required to meet business goals and keep customers happy.